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Clear Channel, buyers upheld in court ruling

28.03.2008 09:03 Shopping - Source: toledoblade.com

SAN ANTONIO — A Texas judge has issued a restraining order that effectively bars the banks that promised to finance the $19.5 billion buyout of Clear Channel Communications Inc. from backing out yet.

Bexar County Judge John Gabriel issued a temporary restraining order just four hours after Clear Channel and the private equity buyers, led by Bain Capital and Thomas H. Lee Partners LLC, filed suit Wednesday in Texas and New York.

The firms contended that the lenders were trying to avoid honoring the financing commitment they made 18 months ago by turning a long-term loan into a short-term one with restrictions.

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